UPDATE 4-Delphi deal said near as UAW contract talks loom

(Adds more details from source, updates stock price)

By Jui Chakravorty

DETROIT, June 14 (Reuters) - General Motors Corp. (GM.N: Quote, Profile, Research, Stock Buzz) and bankrupt auto parts maker Delphi Corp. (DPHIQ.PK: Quote, Profile, Research, Stock Buzz) are "very close" to a deal with the United Auto Workers union that would help the supplier emerge from bankruptcy, a source familiar with the situation said on Thursday.

The deal, which could be reached within a week, would include GM providing a one-time cash payout to Delphi workers in exchange for lower hourly wages, said the source, who asked not to be named because the talks are sensitive.

GM and the UAW declined comment.

Delphi spokesman Lindsey Williams said: "It suffices to say that we are still working on it."

Separately, the Detroit News reported that the deal would offer 4,000 UAW workers a cash payment in return for accepting lower wages that could range from $14 to $18 per hour. The amount of the cash payment was not specified.

Workers could also take the lump sum and accept early retirement or return to GM, the newspaper said, quoting people familiar with the talks.

Shortly after it filed for bankruptcy protection, Delphi said hourly wages were about $27 and in March 2006 it proposed a reduction in wages to $16.50 per hour with a $50,000 wage buy-down payment.